itp sector - global connections » education nz · itp sector strategic roadmap 2 the leadership...

ITP SECTOR STRATEGIC ROADMAP 1

ITP SECTORSTRATEGIC ROADMAPFinal Summary

ITE SECTOR STRATEGIC ROADMAP 1

Foreword ........................................................................................................................ 02Overview ........................................................................................................................ 03Purpose ........................................................................................................................... 04Destination 2025 ..................................................................................................... 05Strategic themes ........................................................................................................ 08Strategic choices: Markets ................................................................................... 09Strategic choices: Products & Pathways ..................................................... 12Strategic choices: Resourcing ............................................................................. 16Strategic choices: Capability & Leadership .............................................. 20Strategic choices: Partnership ........................................................................... 24Priority choices ........................................................................................................... 27Next steps ...................................................................................................................... 28Acknowledgements................................................................................................. 30


CONTENTS

Disclaimer: The views and opinions expressed in this document are solely those of the author and/or the contributors and do not necessarily represent the views of Education New Zealand.


The Leadership Statement for International Education was released in September 2011 – setting targets that include doubling the economic value of international education to $5 billion by 2025.

The Leadership Statement outlined proposed actions for achieving this target, based on trends and predictions at that time. We all know that the international education market has changed – emerging student markets, the increasingly important role of technology, new competitors and products, and different expectations about how and when learning and assessment will take place. Commentators agree that this pace of change will continue.

There is also agreement that globally the number of students seeking an international education experience by 2025 will be in the region of 8 to 9 million and that there are many opportunities to grow and succeed if our education packages are flexible and able to continue to meet student expectations. This is at the heart of the roadmaps process. How does each segment of the industry need to position itself to respond to new opportunities and challenges and what is the industry’s view of success in 2025?

I’ve been heartened by the way the industry has embraced the roadmaps development process. Each sector’s roadmap process has been led by a respected person from that sector and over 400 industry participants have directly had input into this product: either through workshops, interviews or questionnaires.

The next step is to ensure that this industry view is reflected in government and industry planning documents to provide a meaningful way ahead for individuals, businesses and agencies. I look forward to working with you all to make this happen.

Grant McPherson Chief Executive Education New Zealand

FOREWORD “The next step is to ensure that this industry view is reflected in government and industry planning documents….”


The development of a roadmap for the Institutes of Technology & Polytechnics (ITP) sector of New Zealand’s international education industry has been facilitated by Education New Zealand as part of developing an overarching international education industry roadmap.

The process for developing an international education industry strategic roadmap commenced in early December 2013 and has involved a team of independent Project Managers working with key sector advisors and international education providers to produce a roadmap for their respective sectors via:

> 10 sector-based roadmap development workshops held in Auckland, Wellington and Christchurch with over 370 industry participants

> 117 in-depth interviews with key industry participants

> Analysis of nearly 220 opportunities for industry growth > 7 regional ‘test drive’ workshops held in Auckland, Hamilton,

Wellington, Christchurch, and Dunedin with over 200 industry participants

This sector roadmap should be read in conjunction with the following related sector documents:

1. ITP Sector Discussion Paper2. ITP Sector Roadmap Workshop Outcomes & Key Themes3. ITP Sector Interview Summary4. Innovation Café Discussion Paper5. Innovation Café Workshop Outcomes & Key Themes

OVERVIEW — HOW THIS ROADMAP WAS DEVELOPED

Sector Workshops

Interviews (written and face to face)

Innovation Café

Develop and Test

Publish and Implement


PURPOSE

This roadmap has been developed by the ITP sector of New Zealand’s international education industry to guide its future growth and success towards 2025.

The roadmap contains a number of ‘strategic choices’ and ‘specific actions’ which have been identified as key enablers of future success.

It is important that the strategic choices contained in the roadmaps are seen as just that – choices. They may only be relevant to some providers, either individually or as groups, or in conjunction with government or the private sector.


DESTINATION 2025

*Assumes consolidation in the sector with regional and strategic mergers. Smaller campuses would remain.**Includes onshore and offshore students.

PARTICIPATION Number of international education providers

18 18 18*

ENROLMENT Students** 12,377 18,702 22,227

Average students per ITP 632 1,039 1,235

VALUE Tuition fee income $100m $221m $295m

Tuition fees per student $7,968 $11,817 $13,267

EVA $304m $609m $757m

CURRENT 2025 SCENARIO 1 2025 SCENARIO 2


DESTINATION 2025 — THE NUMBERS EXPLAINED

Scenario 1 assumes:

> An annual student growth rate of 3.5% from 2013 > A compound annual fee increase of 3.0% from 2013 > An inflation rate of 1.5% from 2013 > The EVA is the sum of tuition fee revenue and living costs

per student > The 2012 “tuition per student” was sourced from the Economic

Impact of International Education 2012/13 report (EVA). It is based on the total annual tuition income generated for that sector and divided by the number of students in that sector.

> The 2012 living cost per student was sourced from the EVA. This value was derived from surveying students for 12 months and determining their annualised living cost while studying New Zealand. It included costs such as accommodation, utilities, books and other costs associated with living in New Zealand. Based on the results from the survey, an average living cost per student (in each sector) was estimated in the EVA.

Scenario 2 assumes:

> An annual student growth rate of 5.0% from 2013 > A compound annual fee increase of 4.0% from 2013 > An inflation rate of 1.5% from 2013 > The EVA is the sum of tuition fee revenue and living costs

per student > The 2012 “tuition per student” was sourced from the Economic

Impact of International Education 2012/13 report (EVA). It is based on the total annual tuition income generated for that sector and divided by the number of students in that sector.

> The 2012 living cost per student was sourced from the EVA. This value was derived from surveying students for 12 months and determining their annualised living cost while studying New Zealand. It included costs such as accommodation, utilities, books and other costs associated with living in New Zealand. Based on the results from the survey, an average living cost per student (in each sector) was estimated in the EVA.


DESTINATION 2025

Current Destination 2025

Markets

> Reliance on two markets, India and China > Fragmented development of smaller niche markets > Products and USP generally weak > Individual marketing and recruitment > Limited long-term investment

> All markets segmented, understood and prioritised > Focus on market share from lead New Zealand GDP sectors > Product and positioning to maximise financial return > Value-added packaging which maximises profits > Sector committed to long-term investment strategy

Products & Pathways

> Domestic products targeted at international market > Sector ‘brand’ not recognised offshore > Bulk of products offered at L5 – L7 > Employment pathways ad hoc and disconnected > Limited offshore provision

> International and market focussed products and services > International brand with high recognition > Blended delivery across many levels > Employment pathways recognise market needs > Comprehensive offshore provision and consultancy

Resourcing

> Limited capacity and capability to respond > Many consortia broker opportunities for the sector > Infrastructure under-developed for International Ed > Emergence of regional partnership and economies > Centralised team within organisations responsible

> Capability and capacity for rapid response > Single peak body maximising competitive response > Infrastructure needs fully addressed > Regions and industries providing unique packages > Organisations integrated and internationalised

Capability & Leadership

> Core data and market intelligence disbursed > Limited understanding of competitor activity > Sector consortium collaborations are young > Professional development limited > Pockets of expertise in and across organisations

> Up-to-date market intelligence and data > Best practice adopted and enhanced > Peak body improving productivity for the sector > Deep understanding of workforce training > Succession planning clear and consistent

Partnership

> Emergence of co-operative partnerships > Ad hoc partnerships with employment providers > Private sector investment untapped > Education pathway restricted and qualification based > All of Government approach in infancy

> Multi-sectorial groupings for offshore services > Sector provides work experience and placements > Significant public private partnerships > Seamless transition through an integrated information system > Integrated government agencies maximising value


INDUSTRY ROADMAP STRATEGIC THEMES

Markets Resourcing PartnershipProducts and Pathways

Capability and

Leadership


MARKETS OVERVIEW

To achieve transformational growth to meet the target of doubling economic value by 2025, we will leverage the New Zealand Inc. brand through New Zealand’s unique selling points in our own regions and to each provider’s strengths.

We will add new and strengthen existing in-market relationships and leverage from our alumni and business / employer networks.

We will tell the New Zealand Vocational Education and Training story to a larger audience, within targeted employment sectors and priority markets to gain early wins.

We will use market intelligence better to understand the needs of the customers and strengthen face-to-face relationships via digital channels to engage our defined audience.


STRATEGIC CHOICES — MARKETS

1Develop a NZ VET story to promote the strengths of our system 2

Use offshore alumni as New Zealand education ambassadors 3

Create and share relevant and timely market research and intelligence

4Strengthen all channels to market by developing more digital channels and blended delivery


MARKETS

STRATEGIC CHOICES SPECIFIC ACTIONS

DURATION (YEARS)

0 – 3 3 – 5 5 – 10

1Develop a NZ VET story to promote the strengths of our system

Develop a strong NZ VET story aligned to the New Zealand Education story that

highlights the collective attributes and competitive advantages of our ITP system

Promote institutional and city brands within that collective story and adapt that story to

different markets

Rename “Institutes of Technology and Polytechnics”, e.g. Colleges and Institutes

New Zealand, to achieve greater international recognition

2Use offshore alumni as New Zealand education ambassadors

Develop common NZ Inc. alumni tracking to maintain sector-wide contact

Involve alumni in NZ Inc. marketing to enhance in-market relationships

3Create and share relevant and timely market research and intelligence

Develop sector information channels across sector stakeholders for information sharing

Produce regular reports on significant market opportunities and competitor behaviour to

inform product development and mitigating actions

4Strengthen all channels to market by developing more digital channels and blended delivery

Increase skills in digital marketing solutions to make digital media use as a core

competency of VET marketing

Strengthen international marketing and business development teams to embed capability

in New Zealand

KEY RESPONSIBILITY

Sector Sector and Government Government


PRODUCTS AND PATHWAYS OVERVIEW

High quality, niche vocational education products will be developed that meet the future skill needs of global students, in fields where New Zealand can grow its competitive advantages to achieve greater relevance of products.

Delivery will be more diversified, including the use of offshore and blended learning. We will strengthen pathways from secondary to tertiary education and on to employment and residency to increase value propositions.

We will standardise best practice and work collaboratively with employers and ITOs across New Zealand’s priority economic sectors, enhancing the quality of student experience and learning support as well as pathways to employment and greater career prospects.


STRATEGIC CHOICES — PRODUCTS AND PATHWAYS

1Develop VET programmes and services that align with New Zealand’s unique attributes and market needs 2

Diversify products while increasing blended learning including offering dual badged qualifications 3

Strengthen pathways across New Zealand’s education system and into employment and residency

4Increase the value of our graduates by adopting and embedding technology and applied science from industry 5

Build and credentialise qualifications from small units of learning with support from NZQA and INZ 6

Work with employers to ensure work readiness and employability of graduates


PRODUCTS AND PATHWAYS


DURATION (YEARS)

0 – 3 3 – 5 5 – 10

1Develop VET programmes and services that align with New Zealand’s unique attributes and market needs

Audit international market needs and match to learning outcomes, qualifications and visas

Offer multiple student intakes to match international demand

Use market knowledge, consortia and advantages to improve New Zealand’s

competitiveness

2Diversify products while increasing blended learning including offering dual badged qualifications

Formalise bilateral accreditation by NZQA and offshore authorities

Embed technology into programme descriptors and delivery options to accelerate blended

education

3Strengthen pathways across New Zealand’s education system and into employment and residency

Make study and work visas generic across labour market subjects for priority immigration

Link the secondary sector and English language sector to ITP/ITO providers to maximise

capture and pathways

KEY RESPONSIBILITY




DURATION (YEARS)

0 – 3 3 – 5 5 – 10

4Increase the value of our graduates by adopting and embedding technology and applied science from industry

Emphasise work readiness and applied New Zealand technology application giving work

assurance

Target quality assured pathways for immigration or return to home country

5Build and credentialise qualifications from small units of learning with support from NZQA and INZ

Negotiate acceptance overseas for New Zealand equivalence of qualifications

Lobby INZ to accept ITP-ITO supported work-based seamless pathways within visa

process

6Work with employers to ensure work readiness and employability of graduates

Position sector products between secondary and higher level study for differentiation

Integrate work placements and internships in all qualifications for international students

Capture employers/industry sector groups to maximise value of the education proposition

KEY RESPONSIBILITY


PRODUCTS AND PATHWAYS


RESOURCING OVERVIEW

To achieve transformational economic growth, investment will target effective collaboration between ITPs/ITOs, government, NGOs and the private sector to increase scale, relevance and linkages between the NZ VET sector and employment.

Capable ITP providers, individually or with ITOs, in clusters and public/private partnerships, will have access to capital for investment in product, infrastructure and market development.

The medium and long-term commercial return will be sound and sustainable.


STRATEGIC CHOICES — RESOURCING

1Enable better access to capital and R&D for international growth and risk sharing 2

Align investment with capability, quality and reputation enhancement 3 Collaborate for offshore

projects

4 Provide incentives for international revenue growth


RESOURCING


DURATION (YEARS)

0 – 3 3 – 5 5 – 10

1Enable better access to capital and R&D for international growth and risk sharing

Allow ITPs more flexibility to deploy their balance sheets and surpluses so they are more

able to finance and assume the risks involved in international education growth initiatives

Allow ITPs more flexibility to deploy their balance sheets and surpluses so they are more

able to finance and assume the risks involved in international education growth initiatives

Provide a pool of capital / co-investment fund to provide an alternative to develop

international initiatives that do not rely solely on ITP balance sheets for risky but high

value projects

2Align investment with capability, quality and reputation enhancement

Develop governance to ensure support to collaborative export initiatives

Prioritise investment by Government in collaborations across regions and industries

Jointly fund staff to develop and manage international projects outside of BAU activity

Prioritise sector investment to both collaborative and commercial ventures of scale

KEY RESPONSIBILITY




DURATION (YEARS)

0 – 3 3 – 5 5 – 10

3 Collaborate for offshore projects

Develop a single shared commercial entity for NZ VET providers including ITPs, ITOs and

PTEs to jointly deliver projects offshore

Identify and broker opportunities for the NZ VET sector to collaborate in offshore delivery

4Provide incentives for international revenue growth

Develop effective and positive mechanisms to incentivise ITPs and their staff to grow international initiatives and revenues, especially offshore

KEY RESPONSIBILITY


RESOURCING


CAPABILITY AND LEADERSHIP OVERVIEW

To achieve sector cohesiveness and transformational export education growth, ITP leadership will clearly define, articulate, and buy in to a vision and strategy for change.

There will be investment in recruitment to engage, and professional development to increase, the level of commercial expertise including within partnering government agencies.

We will share knowledge and experience across the sector and with industry, including with ITOs, and receive higher quality market intelligence while developing the ability to respond more effectively to opportunities.


STRATEGIC CHOICES — CAPABILITY AND LEADERSHIP

1Improve national leadership and governance for VET international education 2 Share knowledge, expertise

and IP across the sector 3 Professionalise the sector

4Ensure that the VET sector has an effective and cohesive peak body


CAPABILITY AND LEADERSHIP


DURATION (YEARS)

0 – 3 3 – 5 5 – 10

1Improve national leadership and governance for VET international education

Ensure that sector strategies are aligned with the strategy of peak bodies to give

complementarity

Ensure that governance skillsets include international education and commercial expertise

Include an international component in CEO professional development to ensure leadership

2 Share knowledge, expertise and IP across the sector

Establish a networking and mentoring programme with leaders from other export sectors

Develop a single shared CRM/SMS and establish minimum service standards for all ITPs

Develop a shared centre of excellence for international education business development

and project management expertise and best practice

KEY RESPONSIBILITY




DURATION (YEARS)

0 – 3 3 – 5 5 – 10

3 Professionalise the sector

Recruit experienced business development staff with international and commercial

experience

International operations to occupy a position on senior management teams

Send key academic staff on international exchanges to grow their understanding and

awareness of key markets and market opportunities

4Ensure that the VET sector has an effective and cohesive peak body

Develop an effective VET peak body for international education co-ordination

and growth that covers ITPs / ITOs and PTEs

KEY RESPONSIBILITY


CAPABILITY AND LEADERSHIP


To achieve transformational export education growth, we will deliver a greater level of cohesiveness.

We will work collaboratively across NZ VET providers, industry, ITOs, government and private sector partners, including international partnerships, to counter growing global competition from Asian economies in export education markets.

We will benefit from increased scale, capacity, capability and efficiencies by developing and using a range of best practice collaborative models locally, regionally, nationally and internationally.

Our approach to the international marketplace will be as a joined up “NZ VET Inc.” interdependent team, linked closely to offshore partners and collaborators, while retaining and building upon our regional and individual strengths.

PARTNERSHIP OVERVIEW


STRATEGIC CHOICES — PARTNERSHIP

1Develop a unified approach to offshore revenue generation with a strong customer focus 2

Enhance NZ VET coordination with ITPs and ITOs working together to achieve economies of scale and value 3

Develop integrated pathways for vocational students through to priority sectors of the New Zealand economy

2Increase collaboration and integration within and between industry and government


PARTNERSHIP


DURATION (YEARS)

0 – 3 3 – 5 5 – 10

1Develop a unified approach to offshore revenue generation with a strong customer focus

Develop a VET sector collaboration strategy between ITPs, ITOs, PTEs and Government to

take advantage of offshore opportunities

Develop and share employment and career outcomes reporting to highlight employability

outcomes for graduates

2Enhance NZ VET coordination with ITPs and ITOs working together to achieve economies of scale and value

Create a shared model for international education delivery offshore

Target major companies in key markets to offer RPL for work experience and prior study

Develop a shared model for international student recruitment onshore

3Develop integrated pathways for vocational students through to priority sectors of the New Zealand economy

Develop VET “export entry” qualifications from New Zealand schools

Work with ITP advisory committees and employers to commit to employing international

students

Establish flexible entry criteria at multiple entry points to NZ VET affiliated programmes

4Increase collaboration and integration within and between industry and government

Ensure government agencies and their staff have a common and agreed understanding of

the importance of international education and the role and potential for VET within this

KEY RESPONSIBILITY



PRIORITY CHOICES

Markets

• Use offshore alumni as New Zealand education ambassadors

Markets

• Develop a NZ VET story to promote the strengths of our system

Capability and Leaderships

• Ensure that the VET sector has an effective and cohesive peak body

Partnership

• Develop integrated pathways for vocational students through to priority sectors of the New Zealand economy

Products & Pathways

• Increase the value of our graduates by adopting and embedding technology and applied science from industry

Resourcing

• Enable better access to capital and R&D for international growth and risk sharing

Products & Pathways

• Work with employers to ensure work readiness and employability of graduates


A roadmaps analogy was used throughout this process because it was always going to be about the journey as well as the destination. While these documents are final drafts, it’s far from over. ENZ will support industry to start the journey by:

1. Working with providers, peak bodies, sector groups, regional bodies and other key stakeholders to widely communicate the sector and industry roadmaps and their key features.

2. Working with each sector to develop a joint work plan that will identify what the highest priority roadmap projects are and who (industry, ENZ, or jointly) will take responsibility for leading them.

3. Working with each sector to develop the detail of how each priority sector-focused project will be approached, what costs and benefits can be delivered, and when it can be delivered.

4. Facilitating the establishment of a cross-sector project steering group to lead a collaborative approach to high priority roadmap projects where they require a multi-sector or pan-industry approach, including the identification of best practice across sectors.

5. Working alongside each sector and the cross-sector project steering group to appropriately support the implementation of the agreed high priority roadmap projects for 2014/15.

SUPPORTING YOUR JOURNEY TO SUCCESS IN 2025…


To create the kind of future mapped out in the roadmap we seek your commitment to starting the journey and leading the way by:

1. Working with your colleagues, stakeholders, other providers, and peak body or sector groups to widely communicate the sector and industry roadmaps and their key features.

2. Working with other providers in your sector to develop a joint work plan that will identify what the highest priority roadmap projects are and who (industry, ENZ, or jointly) will take responsibility for leading them.

3. Working with your sector to develop the detail of how each priority project will be approached, what costs and benefits can be delivered, and when it can be delivered.

4. Working alongside other providers in your sector to support the implementation of agreed high priority roadmap projects for 2014/15.

5. Adopting the changes in your School, institution or company that are part of making the journey to 2025.

YOU’RE IN THE DRIVING SEAT NOW

“Change will not come if we wait for some other person or some other time. We are the ones we’ve been waiting for. We are the change that we seek.” Barack Obama


ACKNOWLEDGEMENTS

Education New Zealand would like to thank all those who contributed to the development of this strategic roadmap for the ITP sector, including workshop attendees and the following institutions and individuals:

Programme Manager: Alasdair MacLeod, Growth Solutionz

Project Manager: John Snook, Action Consulting Group Limited

Advisory Committee: Peter Brothers, Chief Executive, Manukau Institute of Technology

Garry Fissenden, Chief Executive, The Skills Organisation

Margaret Noble, Chief Executive, Waiariki Institute of Technology

Kay Giles, Chief Executive, Christchurch Polytechnic Institute of Technology

Don Campbell, Chief Executive, Whitireia New Zealand

Kevin Bryant, Chief Executive, Primary ITO

Interview Participants: Unitec, Manukau Institute of Technology, Waikato Institute of Technology, International Education Consultants UK, Southern Institute of Technology, Nelson Marlborough Institute of Technology, Waiariki Institute of Technology, Taratahi Agricultural Training Centre, Christchurch Polytechnic Institute of Technology, Whitireia New Zealand, Industry Training Federation, The Skills Organisation

For further information on the strategic roadmap process contact:

Jason Matangi Business Development Manager Education New ZealandT +64 4 830 0811 E [email protected] 9, 15 Murphy Street, Thorndon PO Box 12041, Wellington 6144, New Zealand enz.govt.nz

itp sector - global connections » education nz · itp sector strategic roadmap 2 the leadership...

Documents